By: González of El Paso H.B. No. 2512

A BILL TO BE ENTITLED

AN ACT

relating to a study regarding the feasibility of creating a mechanism by which a governmental entity could acquire small parcels of real property in an area and convey them to a developer in order to ensure the property is developed in compliance with model subdivision rules.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. (a) The General Land Office, in cooperation with the secretary of state, the commissioners court of the county, and the colonia ombudsperson in the county, if applicable, shall conduct a study of the feasibility of establishing a mechanism by which a governmental entity could:

(1) acquire contiguous small parcels of real property that:

(A) have nominal value; and

(B) are located in a county that has a population of more than 800,000 and is located on the international border;

(2) combine the properties in a manner that makes the properties marketable for development; and

(3) convey the properties for development in a manner that complies with standards prescribed by model subdivision rules adopted under Section 16.343, Water Code.

(b) The study conducted under this section must:

(1) establish methods for identifying property that is suitable for acquisition;

(2) establish methods for identifying owners of property that is considered suitable for acquisition;

(3) establish methods for notifying the owners of the owners' tax obligations;

(4) identify appropriate methods of acquiring, holding title to, and conveying the property and include an analysis of the appropriateness of acquiring the property through the use of a land trust, land bank, or other mechanism;

(5) identify appropriate methods of compensating the owners of the property acquired;

(6) identify any appropriate land use or development requirements or restrictions for the property; and

(7) identify any legislative action necessary to facilitate the establishment of a mechanism described by this section.

(c) In assessing the feasibility of using a land bank to acquire, hold title to, and convey property under Subsection (b) of this section, the study must:

(1) determine the legality of an economic development corporation participating in a land bank;

(2) address the feasibility of expediting the process for a land bank to purchase properties on which the taxes are delinquent; and

(3) identify an appropriate state agency capable of providing administrative or personnel assistance to a governmental entity attempting to:

(A) identify owners of property that is considered suitable for acquisition by a land bank and notify those owners of the owners' tax obligations;

(B) combine properties in a manner that makes the properties marketable for development; and

(C) convey the properties for development in a manner that complies with standards prescribed by model subdivision rules adopted under Section 16.343, Water Code.

(d) Not later than December 1, 2018, the General Land Office shall provide to the legislature a report containing the results of the study conducted under this section.

SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2017.